Wednesday, November 09, 2016

“…Times of gunny bags and suitcases gone”: How senior bureaucrats are reacting to govt’s surgical strike on black money

New Rs 2000 note to be introduced on Nov 10, 2016
WHEN prime minister Narendra Modi announced on Tuesday night that the legal tender character of bank notes of Rs 500 and Rs 1000 would get cancelled from that mid-might, there were shock, confusion, and also a sense of happiness among people across society. Former IPS officer and Lt Governor of Puducherry Kiran Bedi said in Twitter, “…Times of gunny bags and suitcases gone”, talking about the end of decades old practice of carrying illicit cash. BoI here presents how some of the senior most bureaucrats and former bureaucrats reacted in social media to this surprise government move: 
Shaktikanta Das, secretary, Department of Economic Affairs, GoI
Powerful and decisive step by govt to fight black money and use of fake currency notes for terror financing.

Ashok Lavasa, Finance Secretary, GoI
Yet another measure to attack the biggest menace to the country. Citizens must understand, cooperate and join the fight against corruption.

Hasmukh Adhia, Revenue Secretary, GoI
This is the biggest and the boldest step by the Government for containing black money. It is like a surgical strike on black money.

Kiran Bedi, former IPS
Within Minutes some Filthy Rich have become Poor. Money under mattresses++ is mere paper. Times of Gunny Bags and Suitcases gone..! Jai Hind

Ashok Khemka, IAS, Principal Secretary, Haryana
Demonitization of 500 and 1000 rupee notes is master stroke by Central Government to curb black economy and fake currency. Kudos!

Shailaja Chandra, former IAS
Delighted with Integrity Initiative of PM.What will all those people who've stashed black money under their mattresses do?Learn a lesson!

Amitabh Kant, CEO, NITI Aayog
Bold, dynamic and brilliant move to end the black money menace. Beginning of the cashless, paperless economy in India.

Ramesh Abhishek, DIPP Secretary, GoI
One of the boldest, historic and  transformative reforms ever announced by Prime Minister today to curb corruption,black money and fake notes !!

Here are some of the FYI that you may like to know: (Source: Ministry of Finance)
1. Old high denomination bank notes may be deposited by persons into their bank accounts and/or exchanged in bank branches or issue offices of RBI till the close of business hours on 30th December, 2016.
2. Old high denomination bank notes of aggregate value of Rs 4,000 or below held by a person can be exchanged by him/her at any bank branch or issue office of Reserve Bank of India for any denomination of bank notes having legal tender character, provided a requisition slip as per format to be specified by RBI is presented with proof of identity and along with the old high denomination bank notes. Similar facilities will also be made available in post offices.
3. The limit of Rs 4,000 for exchanging old high denomination bank notes at bank branches or at issue offices of Reserve Bank of India will be reviewed after 15 days and appropriate notification issued, as may be necessary.
4. There will not be any limit on the quantity or value of old high denomination bank notes to be credited to the account of the tenderer maintained with the bank, where the old high denomination bank notes are tendered. However, in accounts where compliance with extant Know Your Customer (KYC) norms is not complete, a maximum value of Rs 50,000 of old high denomination bank notes can be deposited.
5. The equivalent value of the old high denomination bank notes tendered can be credited to an account maintained by the tenderer at any bank in accordance with standard banking procedure and on production of valid proof of Identity.
6. The equivalent value of the old high denomination bank notes tendered can be credited to a third party account, provided specific authorisation therefor accorded by the said account holder is presented to the bank, following standard banking procedure and on production of valid proof of Identity of the person actually tendering.
7. Cash withdrawal from a bank account, over the counter will be restricted to Rs 10,000 subject to an overall limit of Rs 20,000 in a week for the first fortnight, i.e., until the end of business hours on November 24, 2016.
8. There will be no restriction on the use of any non-cash method of operating the account which will include cheques, demand drafts, credit/debit cards, mobile wallets and electronic fund transfer mechanisms.
9. Withdrawal from ATMs would be restricted to Rs 2,000 per day per card up to November 18, 2016. The limit will be raised to Rs 4,000 per day per card from November 19, 2016 onwards.
10. For those who are unable to exchange their old high denomination bank notes or deposit the same in their bank accounts on or before December 30, 2016, an opportunity will be given to them to do so at specified offices of the RBI on later dates along with necessary documentation as may be specified by the Reserve Bank of India.
11. Instruction is also being issued for closure of banks and government treasuries, on 9th November, 2016.
12. All ATMs, cash deposit machines, cash recyclers and any other machine used for receipt and payment of cash will remain shut on 9th and 10th November, 2016.
13. The bank branches and government treasuries will function from 10th November, 2016. 
14. To avoid inconvenience to the public for the first 72 Hours, old high denomination bank notes will continue to be accepted at government hospitals and pharmacies in these hospitals/railway ticketing counters/ticket counters of government/public sector undertaking buses and airline ticketing counters at airports; for purchases at consumer co-operative societies, at milk booths, at crematoria/burial grounds, at petrol/diesel/gas stations of public sector oil marketing companies and for arriving and departing passengers at international airports and for foreign tourists to exchange foreign currency at airports up to a specified amount.


  1. Demonitisation,the first surgical strike by PM Modi followed by Income Tax raids on the filthy rich money bags, across the country.

    What a deadly combination of steps to curb black money.

    Is India heading for a cashless, paperless transactions in India.?

    We can certainly look forward to cashless voting in coming assembly elections.
    The Opposition is desperate, frustrated , directionless and clueless about how to convert black into white money.

    It is better to burn illegal money or offer " Gupt daan of fake notes " to the Gods.than get arrested by the income tax.
    Even, Gods are helpless,fearing income tax raids.

    What will happen to scores of self-proclaimed Babas who are custodians of black money of corrupt politicians and business lords.?

    Jago Pakistan Jago.

    I wonder whether Modi's actions in India will trigger a black money movement by Pakistani awaam for de-thronement of corrupt civil and military establishments.

    A K SAXENA (A retd civil servant)

  2. By taking the bold step, PM Modi has incurred the wrath of black-marketeers including jewellers, builders,colonisers, corrupt politicians, bureaucrats, maoists and last but not the least,the terror outfits which were hitherto being funded by the ISI.

    Funding was carried out by supplying fake indian currency notes of 500 and 1000 rupees denominations.

    PM Modi would be surely under threat of those who have been adversely impacted by surgical strike on dirty money.The country solidly stands behind him.

    A K SAXENA (A retd. civil servant)